Transfer Pricing
Braxton International Transfer Pricing
Prices should reflect a fair return for activities carried out by or for a busines based on what is done, what assets are used, and who bears the risks in carrying out the activities, according to recognised international practices.
Our transfer pricing team conduct a risk review process covering all areas of tax risk, with transfer pricing issues a part of this wider review process. In agreement to you, Braxton considers factors such as the number and value of related party crossborder transactions and the performance of the business over
time.
Braxton Consulting helps companies develop and implement economically supportable transfer prices, document policies and deal with tax authority requests.
Braxton advises on related party transactions for the:
- Sale of products
- Provision of services
- Acquisition, use and value of intangibles
- Financial transactions
Braxton Approach
Braxton covers the full transfer pricing cycle of:
- Planning — we help you to develop and implement commercially sensible, fiscally efficient transfer pricing policies and modify existing policies to reflect changes in local law or business circumstances. We help companies assess the impact of transfer pricing policies on their overall tax position.
- Documentation and Compliance — we help you to prepare local documentation for a strong, first-line defense against tax authority challenges and design and implement global compliance policies and procedures
- Implementation — we help you to translate your transfer pricing policies into transaction-level prices and to review the terms and conditions of your international dealings with related parties to ensure your business properly allocates income and expenses between your country and other countries for tax purposes. We also help you to test and report transfer prices and develop processes and tools to monitor transfer pricing results.
- Tax Authority requirements — when tax authority challenges arise, we can help you to respond with detailed, authoritative economic justifications for existing transfer prices.
- Alternative dispute resolution — We help you to assess and manage your transfer pricing risk factors and pursue bilateral or multilateral Advance Pricing Agreements (APAs) or Competent Authority negotiations.
Taking time now to review the price of inter-company transactions will provide new insights and important opportunities. Neglecting this issue, by continuing to use the same price for inter-company transactions year-after-year can lead to significant errors and omissions in the profits of one or more of the business units within your company. A company will spend significantly more time later to deal with the risks posed by a dispute of the inter-company transactions.
